Sessional Paper No. 1 of 2022 on National Automotive Policy

Abstract

The National Automotive Policy (NAP) 2019 seeks to unlock the potential of the automotive industry and related sectors that globally, has been a pillar for industrialization of many economies and a key driver of macroeconomic growth and technology- advancement. The industry has consistently contributed heavily both directly and indirectly to the Gross Domestic Product (GDP), foreign investment, employment and innovation in developed and emerging economies. The Policy therefore provides for the legal, institutional and regulatory framework for the development of the automotive industry; support motor vehicle and motorcycle assembling; hannonize standards; forge collaboration mechanisms in the industry; facilitate market access for sector products and services including access to preferences and reservation in public sector procurements; promote innovation, research and development and technology; facilitate local component/parts manufacturing; and support development of incentive schemes for investments and reinvestments. The Policy brings out the importance and role of existing policy, legislative and institutional frameworks that have supported the growth and development of the manufacturing sector in Kenya and the automotive industry in particular. Some of the milestones acknowledged in the Policy were driven through the implementation of the Kenya Vision 2030 blue print, which aims to transfonn Kenya into a newly 'industrialized middle-income country providing a high quality of life to all its citizens by 2030'; Sessional Paper No. 9 of 2012 on the National Industrialization Policy framework for Kenya (2012-2030) that has identified the automotive and auto parts sector as one of the priority medium to high valued products for promotion and development; the Kenya Industrial Transformation Programme; the 'Big 4' transformation agenda under the manufacturing pillar; the Executive Order No. 1 of 2018.